Ripple (XRP) Hovers above $0.20 Support Level after a Breakdown

Key Resistance Levels: $0.30, $0.40, $0.45
Key Support Levels: $0.25, $0.20, $0.15

XRP/USD Long-term Trend: Bearish
On March 8, Ripple has a breakdown to a low at $0.20 and resumed consolidation above it. For the past two weeks, the bulls and bears have been tussling above the $0.24 price level. The bears finally overwhelmed the bulls, as the price dropped from the high of $0.24 to a low of $0.20.

At the moment, Ripple is fluctuating between $0.20 and $0.21. On the downside, if the selling pressure continues, Ripple will reach a low of $0.17. On the upside, if price rebounds at $0.20 low, Ripple will rally above $0.22. Ripple fell into the oversold region after reaching the low of $0. 20.

Daily Chart Indicators Reading:
As Ripple dropped to the low of $0.20, it fell into the oversold region. Ripple is now trading below 20% range of the daily stochastic. In the oversold region selling pressure is pressure to have ended. Secondly, bulls are expected to emerge in the oversold region to push Ripple upward.

XRP/USD Medium-term Trend: Bearish
On the 4-hour chart, Ripple dropped to a low of $0.20 and continued consolidation. The price action is characterized by small body candlesticks. The candlesticks describe the indecision between buyers and sellers above the $0.20.

4-hour Chart Indicators Reading
Ripple is trading at level 38 of the Relative Strength index. The coin is below the centerline 50 indicating that it is in the downtrend zone. It is also likely to fall. Nevertheless, the 21-day and 50-day SMAs are sloping southward indicating the downtrend.

General Outlook for Ripple (XRP)
Ripple is said to be in the oversold region. This is an indication of the pending arrival of buyers in the oversold. It also means that the coin will rise. Traders should lookout for a buy set to initiate long trades. Stop-loss orders can be placed below the next support level.

Ripple (XRP) Trade Signal
Instrument: XRPUSD
Order: Buy
Entry price: $0.21
Stop: $0.19
Target: $0.24

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